Does it matter if you sign your credit card, write "See ID," or leave it blank? There are lots of rumors out there about what you should do on the back of your card to keep it secure. The plastic aficionados at Stack Exchange answer your question.

When getting a new credit card, what is the policy regarding the signature on the back? Should I sign it? Should I write "See ID"? Should I leave it blank? Should I sign it and write "See ID"?

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I've heard all sorts of different advice but it seems like it's all based on urban legends or hearsay. For an average everyday consumer who uses a credit card fairly frequently, what is the best practice?

If you read the fine print, you will see that you are obligated to sign the card in order to use it. Technically, writing something besides a signature voids the card. But of course, only if the store clerk bothers to look.

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If you want protection against fraud, it's best to use a card with a liability limit.

For those in the United States, financial protection laws limit your liability to $50 for fraudulent purchases for any credit card. This is a prime reason why credit cards can be much safer to carry and use than debit cards, as limiting your liability with a debit card requires noticing and notifying the bank within two days of the fraudulent usage

The signature line's last remaining real use is to cover the credit card issuer's backside in cases of fraud. USC Title 15 Section 1643 states in part:

(a)(1) A cardholder shall be liable for the unauthorized use of a credit card only if (A) the card is an accepted credit card; (B) the liability is not in excess of $50; (C) the card issuer gives adequate notice to the cardholder of the potential liability; (D) the card issuer has provided the cardholder with a description of a means by which the card issuer may be notified of loss or theft of the card, which description may be provided on the face or reverse side of the statement required by section 1637 (b) of this title or on a separate notice accompanying such statement; (E) the unauthorized use occurs before the card issuer has been notified that an unauthorized use of the credit card has occurred or may occur as the result of loss, theft, or otherwise; and (F) the card issuer has provided a method whereby the user of such card can be identified as the person authorized to use it.

The signature line, coupled with a signature on the receipt, allows a retailer to check the signatures, thereby fulfilling clause F of the card issuer's responsibilities when asserting the cardholder is liable for an unauthorized purchase. Whether the user or the retailer actually utilize this feature is irrelevant; the card issuer has made the provision and thereby fulfilled clause F.

Clause B is also germane to the discussion, as it establishes a lower limit to the card issuer's liability. This is one of the reasons why you're seeing "swipe-and-go" credit transactions at retailers; for small purchases, you're liable whether it's you holding the card or someone else.

I'll start with the technically correct answer: Sign it. The signature is technically required by the credit card issuer. If you write anything other than your signature, you are breaking the rules.

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But the more realistic answer is that it doesn't matter at all. In most cases, you will just swipe the card and the cashier will not bother to check it, and if they do they probably won't really pay diligent attention. In the rare event that they do pay close attention, and they do require it be signed, then you are going to need to sign it.

Now here is the real killer: If somebody steals the card, they will be just as capable of using it as you are without the signature, and of course they can try to use it online without anyone knowing if it's signed.

The bottom line: Get a card with fraud protection, and sign it. This is what you can do to protect yourself from fraud, and not doing it won't provide any benefit. Chances are if anyone ever refuses to take the card without the signature, it will be a minor inconvenience for you, rather than a problem for a thief.

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